ST. LOUIS – A lawsuit was filed in the U.S. District Court for the Eastern District of Missouri on Sept. 24 by BASF Corp. over allegations of a requirements agreement breach by defendant Complete AB Truck and RV Repair of St. Louis LLC.
According to the Sept. 24 filing, the defendant, doing business as Complete AB Truck & RV Repair, failed to “fulfill 100 percent of its requirements for Refinish Products up to a minimum purchase requirement of $329,000 of BASF Refinish Products.”
Instead, the plaintiff alleged that in October 2016, the defendant “breached and ultimately terminated the Requirements Agreement…entering into an agreement with one of BASF’s competitors and failing to purchase 100 percent of the requirements for Refinish Products from BASF.”
The contract breach, according to the suit, ultimately totaled “less than one-fifth of the minimum purchase price.” The plaintiff alleges that the defendant “failed and refused to refund BASF the sum of $49,500, which represents 110 percent of the $45,000 in unearned contract fulfillment consideration.
“As a result of the unjustified breach…Defendant is also obligated to pay BASF for the consumed consigned inventory,” the suit states.
BASF, an after-market paint and refinishing product manufacturer and supplier, entered into an agreement with the defendant in October 2015. In the agreement, the suit states a stipulation was noted that if it was terminated “for any reason prior to defendant purchasing a minimum of $329,000 of Refinish Products,” that it would be required to refund the contract fulfillment consideration to BASF according to an assigned schedule.
The contract fulfillment consideration refund schedule for less than one-fifth of the minimum price indicated a refund of 110 percent.
The plaintiff is seeking $49,500 for refund of the contract fulfillment consideration, the remaining balance of the defendant’s minimum purchase, which is no less than $263,200, for a total of $312,700, plus the value of the consumed consigned inventory.
BASF is represented by Mark E. Goodman of Capes Sokol Goodman & Sarachan in St. Louis.
U.S. District Court for the Eastern District of Missouri Eastern Division case number 4:18-cv-01618